I sold an old French violin to a buyer in Canada, and the buyer disputed the label.

This is not uncommon. In the violin market, labels often mean little and there is often disagreement over them. Some of the most expensive violins in the world have disputed labels, but they are works of art nonetheless.

Rather than have the violin returned to me, PayPal made the buyer DESTROY the violin in order to get his money back. They somehow deemed the violin as "counterfeit" even though there is no such thing in the violin world.